Natural Gas’ Biggest Single-Day Slump Since August

By Brendan Conway

Jitters over the chance of weak U.S. energy use were all over the commodity markets on Monday.

The plunge in natural gas futures — 4.6% — was the commodity’s worst single-day price action since mid-August. The United States Natural Gas Fund (UNG) is down 4% at $22.16 recently.

Oil futures fell to the lowest level in two weeks. Market strategists are citing expectations for weak U.S. demand.

“We know the US isn’t going to grow very much next year, and this is coupled in an environment where you’re going to see higher production,” Andy Lebow of Jefferies tells Dow Jones Newswires’ Dan Strumpf. “You’re looking at a confluence of bearish factors.”

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Chris Dieterich has covered the U.S. stock market for The Wall Street Journal and Dow Jones Newswires. He is a graduate of Regis University and the Missouri School of Journalism.